Saudi Aramco's winding road to an IPO: A timeline

Reuters Nov 3 | Updated on November 03, 2019 Published on November 03, 2019

Saudi Aramco IPO   -  Reuters

Saudi Arabia's state oil company finally kick-started its initial public offering (IPO) on Sunday, announcing its intention to list nearly four years after Crown Prince Mohammed bin Salman first floated the idea.

Here are the key events on Aramco's path to an eventual stock market début.

November 3, 2019 Saudi Arabia's Capital Market Authority said its board had approved Saudi Aramco's application for the registration and offering of a proportion of its shares.

October 18, 2019 Saudi Aramco delays the planned launch of its initial public offering in hopes that pending third-quarter results will bolster investor confidence in the world's largest oil firm.

October 8, 2019 The Saudi central bank vets local lenders’ exposure to Saudi Aramco ahead of an initial public offering of the state-oil giant that will likely see large numbers of Saudi investors seek loans to buy its stock, three sources familiar with the matter said.

October 7, 2019 Rating agency Fitch downgrades Saudi Aramco by one notch after attacks last month on two production facilities, putting the rating of the state-owned oil giant at par with the one of Saudi Arabia.

September 30, 2019 Fitch downgrades Saudi Arabia's credit rating to A from A+, citing rising geopolitical and military tensions in the Gulf following an attack on its oil facilities and a deterioration of the kingdom's fiscal position.

September 25, 2019 Saudi Arabia restores its oil production capacity to 11.3 million barrels per day, three sources briefed on Saudi Aramco's operations tell Reuters, maintaining a faster than expected recovery after the Sept. 14 attacks.

September 14, 2019 Two Saudi Aramco plants attacked in a drone strike, triggering the biggest jump in oil prices in almost 30 years. The attacks forced Saudi Arabia to shut down more than half of its crude output, leaving question marks over the timing and valuation of its IPO.

September 11, 2019 Saudi Aramco hires nine banks as joint global coordinators to lead its planned initial public offering, sources said.

September 9, 2019 Saudi Arabia plans to list 1 per cent of Saudi Aramco on the Riyadh stock exchange before the end of 2019 and another 1 per cent in 2020, sources tell Reuters.

September 2, 2019 Saudi Arabia names head of the country's sovereign wealth fund, Yasir al-Rumayyan, as Aramco chairman, replacing Energy Minister Khalid al-Falih.

August 30, 2019 Saudi Aramco board sees too many risks for New York IPO, sources tell Reuters.

August 19, 2019 Saudi Aramco asks banks to pitch for roles in IPO, sources said.

July 2, 2019 Banks including JP Morgan, Morgan Stanley and HSBC scramble to re-pitch for Aramco IPO roles, sources said, with Saudi Arabia's energy minister confirming plans for the listing to proceed in 2020 or 2021.

April 9, 2019 Aramco sells $12 billion bonds out of record $100 billion demand.

April 1, 2019 Saudi Aramco made core earnings of $224 billion in 2018, figures show, after Aramco had to reveal them in order to start issuing international bonds.

March 27, 2019 Saudi Aramco said it would buy SABIC in $69 billion chemicals mega deal.

March 7, 2019 Saudi Energy Minister said Aramco IPO to happen within two years, Okaz newspaper reports.

August 22, 2018 Saudi Arabia scraps plans for the domestic and international listing of Aramco and advisers working on the listing have been disbanded as the kingdom shifts its attention to buying a stake in SABIC, sources said.

July 20, 2018 Saudi Aramco's plans to buy a stake in petrochemicals maker Saudi Basic Industries Corp (SABIC) would affect IPO timing, CEO said in an interview.

March 13, 2018 Saudi Aramco international listing looks increasingly difficult, sources close to the process said

Jan 11, 2018 Hong Kong, London, New York shortlisted for Aramco IPO, two sources with knowledge of the discussions said

Jan 10, 2018 Saudi Aramco is working to raise cheap loans from banks seeking to strengthen their ties with the oil giant before its IPO, banking sources said.

October 26, 2017 Saudi Aramco IPO is on track for 2018 and it could be valued at more than $2 trillion, Crown Prince Mohammed bin Salman tells Reuters in an interview

September 25, 2017 Saudi finance minister told bond investors Aramco IPO would go ahead in 2018, sources tell Reuters

August 11, 2017 Saudi Arabia favours New York for Aramco listing despite risks for the main foreign listing, people familiar with the matter tell Reuters

August 3, 2017 Goldman Sachs bought into Aramco $10 billion loan as it seeks IPO role, sources familiar with the matter tell Reuters.

May 3, 2017 London tries to lure Saudi Aramco with new listing structure, sources familiar with the discussions said.

May 2, 2017 Aramco sale won't be far off 5 per cent, will happen in 2018, Deputy Crown Prince Mohammed bin Salman said.

April 24, 2017 HSBC has been formally mandated as an adviser on IPO of Saudi Aramco, HSBC's chief executive said.

April 19, 2017 China gathers state-led consortium that will act as a cornerstone investor in the Aramco IPO, people with knowledge of the discussions tell Reuters.

March 30, 2017 Saudi Aramco formally appointed JPM, Morgan Stanley and HSBC as international financial advisers for its IPO, sources familiar with the matter tell Reuters.

March 23, 2017 Saudi Aramco picks Samba Capital as local IPO adviser, sources tell Reuters.

March 6, 2017 Saudi Aramco will list locally and abroad in second half of 2018, Chief Executive Amin Nasser said.

January 26, 2017 Saudi Aramco selects U.S. firms to audit its reserves for IPO, industry sources said.

May 27, 2016 Saudi Aramco was boosting market share as it prepares for listing, Chief Executive Amin Nasser said in an interview.

May 10, 2016 Saudi Aramco was finalising proposals for the IPO of less than 5 per cent of its value and will present them to its Supreme Council soon, its chief executive said.

April 25, 2016 Saudi Arabia expects Saudi Aramco to be valued at more than $2 trillion and plans to sell less than 5 per cent of it through an IPO, the Deputy Crown Prince Mohammed bin Salman said.

January 24, 2016 Saudi Aramco chairman said IPO could be open to international markets, in interview to Arabiya TV.

January 8, 2016 Saudi Aramco issued statement saying it was considering options including the stock market listing “of an appropriate percentage of the company's shares and/or the listing of a bundle of its downstream subsidiaries”.

January 6, 2016 Saudi Arabia's Deputy Crown Prince Mohammed bin Salman mentioned his interest in selling off parts of Aramco to private investors in an interview with the Economist.

Published on November 03, 2019
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